Youth Allowance (YA) or ABSTUDY independence impacts when customer separates 102-05020060

When a YA or ABSTUDY customer advises they are no longer living with a partner as a member of a couple (separated or divorced), their record must be updated to reflect their change in circumstances. Impacts to independence and eligibility must be assessed and coded.

There are key tasks a customer should consider when separating to protect their personal information. See Separating Safely - protecting personal details.

If a customer claims to be separated they must establish that:

• they are living apart either permanently or indefinitely, and
• there has been an estrangement or breakdown in their relationship

Generally, a physical separation as well as an emotional separation between the couple is required.

Note: living separately and apart should not generally be accepted if the couple are living apart solely because of ill health, employment and/or economic reasons.

If there is a change to the customer's qualification for YA or ABSTUDY because of the separation or there is now qualification for a more appropriate payment type (for example, they are now a single parent), the Service Officer must ascertain whether the customer is eligible for another income support payment and other products and services.

The Separation details (MOD S) form is used by customers to notify of a change of relationship status (separation), in all cases except where:

• the YA customer has lodged a new claim (the YA new claim form and online claim include all required separation details)
• the YA customer has submitted an online Update relationship details activity
• the customer’s partner is receiving Parenting Payment Partnered (PPP) and may be entitled to Parenting Payment Single (PPS),or
• PPS is being claimed by the customer

Not issuing a MOD S and using the appropriate PPS procedure listed above avoids duplication of information, as the PPS claim and transfer forms cover the same information as the MOD S. It also prevents premature cancellation of PPP before the necessary forms and verification for transfer to PPS have been obtained. (PPP will cancel if action is taken to unlink customer and partner records. Unlinking customer records is usually the first action taken upon receipt of a MOD S.).

In these cases, there must be no action taken to unlink the records before the transfer activity. The unlinking must occur within the benefit transfer activity.

When a customer separates from their partner, ensure the customer's bank account details are correct and whether they wish to have payments made to the same account.

If a customer has payments made to a joint account, tell the customer that if money is paid into the joint account, the former partner will have access to their payment. Ask customer if they have an account just in their own name. See Changing payment destination.

When a customer whose partner is appointed as their nominee advises they have separated, they must be asked at first point of contact if they wish to cancel the nominee arrangement. A request for cancellation of the arrangement must be actioned immediately. The request does not have to be in writing. Where the customer has an appointed nominee and who completes the online update relationship details activity, the customer will be given the option to cease this arrangement. The nominee relationship will be ended through the separation activity.